Effect Of COVID On Economic Inequalities
It is indeed painful to analyze that a pandemic like COVID-19 has generally contributed to economic inequality in countries globally. In low and middle income countries especially, COVID-19 pandemic has made the poor man suffer more. It is disillusioning to see that whenever any pandemic hits a nation at large, the poor man tends to bear its brunt the most.
It has been analyzed that usually the poor population globally is prone to COVID-19 pandemic. The poor population especially of Central Africa and Southeast Asian countries have a closer contact with birds and animals, which transmits viruses of diseases like COVID pandemic. It is primarily because the poor nations of Central Africa and Southeast Asian countries are undergoing accelerating expansions of human settlements leading towards increasing agricultural and livestock production.
Sadly, on the outbreak of a pandemic like COVID-19, the poor man in low and middle income countries (LMIC) fail to afford the required medicines for treatment and recovery. Due to least accessibility to appropriate health facilities in an event of a serious COVID virus, a large proportion of poor population dwelling in LMIC have lost their lives. This consequently has an adverse impact on economies of these countries as a family of the low and middle income strata in African and Asian countries is dependent on earnings of a single individual, who when succumbed to a deadly virus like COVID-19 entails a huge economic burden for the entire family unit.
The loss of life of the bread earner of the family means a sheer loss of income of the household unit depriving it from fulfillment of its basic necessities. This unfortunately grows economic discrepancy in low and middle income countries whereby the poor tends to get poorer and the rich flourishes.
In addition, COVID-19 has led to lockdowns, market closures, conscious and fearful consumers avoiding marketplaces. This hence entails a serious economic damage especially for the poor households, who already fail to make their both ends meet thereby resulting in an increasing economic inequality. An expert analysis presents that about six to eight percent of the global population is likely to be pushed into poverty as governments close down businesses to contain the spread of coronavirus.
A study presented by United Nations titled as “Estimates of the impact of COVID-19 on global poverty” states that COVID-19 is an imminent threat to the fulfilment of Sustainable Development Goals to end the poverty by 2030. It ever since 1990 could be a complete reversal to the efforts made globally for reducing the poverty.
COVID-19, overall has increased economic inequality globally by making the poor population poorer and has created a new cohort of poor. UK and USA are reported to be most adversely affected by COVID-19 in terms of economic recession and unemployment. About 20.4 million people lost their jobs in USA during the COVID crisis period.
Considering the economic inequalities arising from COVID-19 pandemic, there stands a dire need for achieving global solidarity amongst developed and developing nations for joint sharing of resources. This is required for enabling the poor population to survive the battle against corona virus by accessing best healthcare facilities.